New Delhi: The government on Friday warned edtech companies against indulging in unfair trade practices, including misleading advertisements, and said it would be forced to bring in stringent guidelines if self-regulation is not done by industry players. . The rise in fake reviews in the edtech space and ways to check it were also discussed by Consumer Affairs Secretary Rohit Kumar Singh during a meeting in the national capital with self-regulatory body India Edtech Consortium (IEC) and other industry players.
IEC runs under the aegis of Internet and Mobile Association of India (IAMAI). (Also read: Center to review exports, unexpected oil tax every fortnight: Finance Minister Nirmala Sitharaman)
The meeting was attended by representatives of IAMAI including IEC member companies as well as Upgrade, Byju’s, Unacademy, Vedantu, Great Learning, WhiteHat Junior and Sunstone. (Also Read: Increase in Export Duty on Petrol, Diesel: Here’s How It Will Affect Fuel Prices)
“If self-regulation does not curb unfair trade practices, strict guidelines will need to be framed to ensure transparency,” Singh said in the meeting.
According to an official statement, issues related to unfair trade practices and misleading advertisements related to the Indian edtech sector were prominently raised during the meeting.
The Secretary discussed ways to better manage consumer interests in the edtech ecosystem.
Singh informed that it has been pointed out that some advertisements and practices are not in conformity with the prevailing guidelines and extant rules.
Hence, it is imperative to work together to maintain strong checkpoints in line with the interests of the consumers, he said.
A recent report by the Advertising Standards Council of India (ASCI) states that the education category was the biggest violator of the advertisement code in 2021-22.
Singh also advised the IEC to continue its positive efforts to serve the ecosystem.
and to form a Joint Working Group with relevant stakeholders to formulate Standard Operating Procedures (SOPs). The IEC comprises of Indian startups and represents 95 per cent of the Indian learner community.
As part of the agenda, industry members discussed the need to further enhance the Indian edtech ecosystem to better protect consumer interests through seamless, transparent and viable offerings to consumers.
The industry members also briefed the secretary about the progress of IEC and the direction of the ongoing efforts to improve the welfare and awareness of the learners, the statement said.
In recent months, the government has been cracking down on cab aggregators, restaurant owners and food delivery platforms for unfair business practices.